Connect with us

Entrepreneur Profiles

5 Top Lessons From LAWTrust To Prepare For Super-Charged Growth

Christi and Maeson Maherry took their R103 million business to a turnover of R198 million in just 15 months. How? With a strong vision, the right foundations in place.

Nadine Todd

Published

on

Christi Maherry and Maeson Maherry

Vital Stats

  • Players: Christi Maherry and Maeson Maherry
  • Company: LAWTrust
  • Est: 2006
  • Turnover: R198 million
  • What they do: Digital information security solutions
  • Team: 90 people, 28 of whom are developers and security engineers
  • Visit: www.lawtrust.co.za

When Christi and Maeson Maherry launched LAWTrust in 2006, they had a grand vision: They wanted every person in South Africa to have a digital ID. With the launch of the national ID card in 2013, they achieved that vision.

But here’s the thing about a grand vision. First, no goal can be achieved without laying specific foundations and building blocks. When the tender was awarded to LAWTrust by the Department of Home Affairs, they had just six weeks to implement. Christi and Maeson’s international product partners said it couldn’t be done — that no national project of that scale had ever been completed in six weeks.

“The rollout was scheduled for Nelson Mandela Day, and we couldn’t miss our deadline. We had to deliver,” says Christi. “If we had won the tender when we launched in 2006 we wouldn’t have been able to meet the deadline,” adds Maeson.

“But we had spent seven years working on our core competencies, systems, processes and products. It was still a massive project, but we’d built up the internal competencies to pull it off. You have to systematically prepare for growth.”

Second, successful companies are built because they get into the market and they start trading. Elon Musk’s ultimate goals are to build solar roofs that seamlessly integrate battery storage; to expand his electric vehicle product line to address all major segments; and to develop a self-driving solution that is ten times safer than manually operating vehicles.

Related: AutoTrader South Africa’s George Mienie Knows Disruptive Innovation Is More Than Shifting Gears

To get there, he’s built the Tesla: A low-volume, expensive and exclusive car. That product range is funding a medium volume car at a lower price, which in turn will fund an affordable, high volume car — which will fund his ultimate goals.

The point is that you need to be in the market. You need to build solutions that customers will pay for and that bring in revenue, but also allow your business to grow and develop.

For LAWTrust, those solutions were built for the banking sector. When the opportunity to tender for the national ID card project came up, it was the culmination of Christi and Maeson’s vision — but under no circumstances could it be achieved at the expense of their existing client base.

And finally, what happens once the grand vision is achieved? Truly innovative companies that achieve market longevity are able to look beyond their own goals to the next ground-breaking vision. You need to simultaneously live in the future and in the here and now.

Here are the top five lessons Christi and Maeson have learnt while building their business.

1Develop principles you believe in

LAWTrust

LAWTrust was launched because Christi and Maeson wanted to focus on cyber-security within the digital space, as well as digital identities and authentications.

They were both working in the crypto space, but wanted to create something of their own, and so they found a partner who would bankroll the business in exchange for a solution that allowed for the authentication and protection of digital contracts in the legal sector.

Unfortunately, the solution ultimately needed local laws to change, a factor they hadn’t considered and which was taking much longer than expected. But it gave the business a platform from which they could build encryption solutions for other sectors, most notably the banking sector.

In a nutshell, LAWTrust authenticates ‘safe’ websites, and provides user protection once you are in those websites, so that your details cannot be accessed by anyone else. These solutions work for Internet sites as well as Intranet sites, and have been extended to create personal, life-long digital IDs through the new national ID cards.

But the success of these solutions has stemmed from a set of core principles, rather than specific tech solutions.

“You need to develop a set of principles that you believe in, and then find a way to deliver solutions based around those principles,” says Christi.

“For us, identity is the key to security. How you prove identity may change, but the principle is sound, and that’s been imperative to how we develop solutions.

Related: 7 Lessons Elevator Learnt When Partnering With Their Competitor For Next Level Growth

“We’ve always believed in PKI — public key infrastructure — which is a set of roles, policies and procedures that create, manage, distribute, store and revoke digital certificates and manage public-key encryptions. Ten years ago, Gartner said PKI was dead. We disagreed. Not because we were married to one set of tech or solution, but because we held to our core principles, and believed that PKI was the best way to deliver on those principles. We spent a lot of time convincing our clients of this fact, until Gartner ultimately retracted their statement.

“We agree that you can’t be married to your solution. The next interesting tech is blockchain. If we ignore this, we may no longer be the niche experts in this field in the future. But we also really believe that the principle comes first — the method of delivering the solution based on that principle is secondary.”

For Maeson, this isn’t just true of technology companies, but all businesses across sectors and industries. “In the late 1800s and early 1900s the primary mode of transport was wagons. A company whose name and products only focused on wagons was left behind once the automobile was invented. A company whose name and products focused on transport solutions, however, could move with the times. It’s all about how you view your business and your product. Are you in the business of producing horse harnesses, or are you in the business of helping people get from point A to point B? Your view will determine the company’s focus, and how agile you are.

“This has been the cornerstone of how we view our place in the market. We provide digital identities that protect personal and company information. How we do that might change over time, but the principle remains the same.”

2Be courageous in everything you do

lawtrust-owner

Christi is no stranger to courage. In fact, her personal motto is that you should invest everything you have in the journey. “No guts, no glory,” she laughs.

“I was the first female in South Africa to complete the VIP protection course for the National Security Agency, and it was because I wouldn’t take no for an answer. I got to serve the President. I was on his protection detail. I met Barbara Bush in the White House, and was assigned Prince Philip’s protection detail when he visited South Africa. You need to know what you want and go for it — and the beauty of it all is that courage is a habit that you can build and repeat.”

It might be Christi’s personal mantra, but it’s the cornerstone of the business she and Maeson have built together as well. “If your executive judgement is sound, then you have a solid business,” says Maeson, whose background is in electronic engineering.

“Business is all about accepting certain levels of risk. If you’re focused on growth, you spend most of your time in unchartered territory. This often means taking on big tasks and figuring them out along the way.”

While Maeson is naturally more cautious than Christi, the partnership works well. Christi’s focus is on the future, and she’s always ready and willing to blaze ahead, while Maeson requires data to plot their course and growth plans. Together, they balance out, and with an agreement in place that courage is a necessity, and that risk is inherent in business, they walk the line between focusing on big, hairy, audacious goals (BHAGs) and putting the necessary systems and processes in place that will get them there.

“If we didn’t have this mentality we would never have pitched for the national ID card project,” says Maeson. “But without Maeson’s systems — and his entire team’s willingness to work 20-hour days for six weeks straight, we wouldn’t have delivered,” adds Christi.

Being courageous goes beyond just taking business risks though. It’s also about having courageous conversations with your employees and customers.

“Some of the most intimate customer relationships we’ve built have started with a problem, which we gave 110% to fix. This is the foundation for a fantastic relationship — but not if you aren’t honest,” says Christi.

Related: 10 Lessons From Andrew Brand On Shaping Organisational Success

“Always be honest; don’t say that you have a solution when you don’t. Rather tell clients that the issue is tougher than you assumed and you need another week to find the solution. There’s a temptation not to communicate with customers while you fix a problem, but we’ve learnt that there’s no such thing as over-communication. People feel secure when they have all the facts. It’s not always easy to be this transparent, but it’s essential to successful relationships built on trust.”

3Owning your niche creates defensibility

south-african-entrepreneurs

One of the key areas investors evaluate businesses on is defensibility: How difficult is it for competitors to come into your market and encroach on your market share?

Maeson and Christi have concentrated on three key factors to ensure defensibility in their market. The first is that although they stick to a niche within PKI and crypto solutions, they work across multiple industries and sectors.

“We follow a strategy of never playing in only one sector,” says Maeson. “We have a base of solutions that we tweak according to industry-specific needs. This means that we aren’t reliant on the success or growth of any one sector.”

This strategy was developed on the back of LAWTrust’s first big failure, which was developing a product for their first clients and investment partners that could not be implemented because the law lagged behind the solution.

“On spreadsheets, the business model looked great,” says Maeson. “What we didn’t take into account was that the business plan involved changing the law, and you can’t put a timeline on that.”

Christi and Maeson didn’t let this early failure deter them. “We are security specialists and we knew that our vision was rock solid,” says Christi. “The first product didn’t work, but it gave us the building blocks for three other products. We were trying to solve the fact that legal contracts have to be sent via registered mail. We created an encrypted mail solution, which established building blocks for a number of other solutions. The product didn’t work, but it created a great start for the company.”

Both Christi and Maeson considered themselves to be PKI visionaries, and so they unbundled the first product, and repackaged it into three different solutions that were not industry-specific.

“We convinced our shareholders to continue this journey with us, and we made the decision to create solutions that worked across sectors and industries going forward,” says Christie.

Two years later, in 2008, LAWTrust signed its first banking client. “Specialists can go up against giants,” says Maeson. “We knew we didn’t want to be small generalists. This isn’t a defensible business model but being very specific niche experts is a different ball game. We can’t be commoditised by larger companies, and we aren’t really competing with them. Instead, we’re the OEM experts that large integrators use when they’re delivering on a project.”

Maeson and Christi both believe that specialising in an area offers protection. “We have 90 people working for us who are all crypto experts,” says Christi. “Someone who is passionate about this field will come and work for us, because it makes up 100% of their job instead of 10% or 20% at a large IT firm. This means we have the best in the field working for us, and we’re completely focused, putting us at the top of our game.”

Related: How An Accidental Entrepreneur Founded A R175 Million Business

LAWTrust’s core focus is on customer success, which requires exceptional customer service. “Everyone says customer service is their key differentiator, but for us it’s a non-negotiable if you’re building a defensible position,” says Christi.

“Substantial deals have come from answering the phone at 10pm on a Friday night to help a client out of a jam. We know that if banks or the Department of Home Affairs aren’t delivering, it’s our fault. Protecting them is our number one priority. I would rather be disturbed at 2am than hear the next morning on 702 about long queues outside Home Affairs.”

This focus on customer success shines a light on your sector, which in turn attracts competitors to your space. Christi and Maeson understand that this is the cost of doing business, and that it makes creating a defensible position an ongoing process, rather than a once-off.

“The best defensibility is to know what you’re doing and to enjoy doing it,” says Christi. “If you’re passionate about what you do, you’ll naturally put in 120%. You’ll shine and attract the best people. This will in turn drive you to deliver exceptional service, which will give you a strong track record. We have incredibly strong references. Any new players to the market will find it difficult to compete with the level of delivery we’ve achieved.”

4Lay the foundations for growth

christi-lawtrust

It’s never too early to start laying the foundations of growth. “When the opportunity for a large contract comes along, and you put yourself and the business out there, you need to have scaled the business already,” explains Maeson.

“To even win the deal in the first place you need to prove you can implement and support your idea. We’ve learnt that ‘overnight’ successes are actually ten years in the making. They take a vision, and a roadmap of how you’re going to get there.”

This is true of everything LAWTrust has done since its launch, but can be seen in action in the national ID project. “The ID card tender was ten years in the works,” says Christi.

“It came up a few times without successful contenders securing the project. Then the last time it came up there was a digital component. We had spent a few years in the market, had developed a reputation for delivery, and we had the product. The timing was right for both of us — we had a solution that matched their need, and we were confident we could deliver in the extremely tight timeframe.”

Christi and Maeson had a grand vision — but on the ground is where you make grand visions work. “The heavens don’t magically open after 18 months in business,” says Maeson. “We knew where we wanted to go, and we had to figure out the best path to get there. We needed to do the time. Our entire business is based on trust, integrity and security. There are no short cuts to this. We needed to develop the right products and build a reputation, and that takes time in the market, and an unwavering focus on delivery.”

Maeson has focused on developing two different sets of products: Commodity products that are cash generative, because they offer annuity (subscription) income, and can be housed in the cloud or on client premises. These solutions are developed with international partners; for example, LAWTrust is the Entrust partner in Africa, and has Adobe and Microsoft international accreditations.

Maintaining these requires annual three-month audits from KPMG, and solutions are built onto international products to integrate into existing systems. On the whole, they are subscription based, which frees the team up to develop specialist solutions, like the national ID project.

“These have a much longer sales cycle, and so we need the mix of both commodity and specialist projects to make our business model work,” says Maeson.

These solutions can be deployed anywhere in the world, and this has opened an additional revenue stream for LAWTrust in international markets. Moving into international markets also hedges currency risks.

“Every company around the world has a digital strategy. We can provide the trust that clients need to feel comfortable sharing their information online for any business, anywhere in the world,” says Christi.

Interestingly, sometimes part of the growth journey is to not grow. This happened to LAWTrust after the implementation of the national ID Project.

“The project took six weeks to implement, and during that time we communicated regularly with our banking clients. It was a huge project that required an enormous amount of our team’s focus, and we needed to ensure that they didn’t feel abandoned by us,” says Christi.

LAWTrust’s clients understood their constraints, and because the solutions they employ are subscription-based, managed PKI solutions, they continue operating without LAWTrusts’s express focus.

This is one of the challenges of growth. You need to have scaled to be able to handle a project of this magnitude, but you can’t double your team overnight. You need to deliver with what you have. Many companies fall short when they’re trying to scale because they either over-spend in preparation for a large project, or they can’t invest in the growth needed to deliver the project.

In LAWTrust’s case, Maeson’s team worked day and night to deliver, with the understanding that it was short-term only. Thereafter, the business knuckled down and focused on ensuring all the systems, processes and teams were in place to handle the new contracts.

It’s for this reason that there was almost no revenue growth between 2013 and 2015, but the business then doubled its turnover in 2016, taking it from R103 million to R198 million in 15 months.

“Revenue growth is good — it’s the focus of all high-impact, growing businesses,” says Maeson. “But it cannot be the be-all and end-all of what you’re doing. We needed to consolidate the business and ensure our foundations were ready for the next level of our growth before we embarked on it. Once we had everything running seamlessly we could start focusing on growth again — with a large focus on international markets.”

5Never stop learning

Christi and Maeson

Christi and Maeson have a strong belief that great businesses are built when you attract — and retain — the right people. There’s a strong leadership component in talent management however, not just from the perspective of managing your teams, but in having the ability to step back and give your upper management the freedom to make decisions and take ownership of their roles.

“When you give people the opportunity to do their thing, you’ll build a better business — provided you have the right people on board,” says Maeson.

Interestingly, this ties in with the two founding partners’ focus on self-development as well. “We’re continuous learners,” says Christi. “

You can’t step away to focus on your personal growth and business acumen if you’re always working in the business, and without that growth you can’t adequately work on the business. To do both, you need to trust your team to continue with the day-to-day operations.”

Christi and Maeson have both taken numerous executive courses. Christi started with the Management Advancement Programme (MAP) at Wits Business School, which ignited her renewed love of learning.

“I realised the value that ongoing learning adds to my business and myself,” she says.

This was followed by programmes at EY and even Stanford. Maeson is completing his PhD, and has also completed online courses through Stanford. They also regularly attend international conferences in their sector.

“Our aim is to globalise, and to do that we need a broader view of international markets and challenges, as well as a global network. These courses help us achieve that goal and set up new channels, and give us insights into different cultures and drivers,” says Christi. “They also help you leapfrog your organisation,” adds Maeson.

“Why make the same mistakes that other businesses make when you can learn from them? Business theories and case studies have been invaluable in our growth and understanding of our business. We’ve laid the foundations for global growth because we’ve focused on getting all the right elements in place — and that includes ourselves and our own knowledge base.”

Lessons Learnt

Courage is a habit. Get into the habit of holding courageous conversations with staff and customers.

Business is about accepting certain levels of risk. If you’re focused on growth, you spend most of your time in unchartered territory. Take big bites and then focus on figuring it out.

Fail fast. This is crucial. Business and technology are changing all the time and you need to change with them. You’ll make mistakes — that’s okay. Just make them quickly so that you can learn and move forward.

Believe in principles, not a solution. Solutions — and how they’re deployed — change. Make sure you have a set of principles at your core; how you package those solutions shouldn’t be at the centre of your business.

Focus on operating costs first. We’ve done this with our annuity income streams, which has enabled us to focus on specialist projects.

To scale, scale people. This is where the real growth happens — with your people and what they can deliver. Be transparent with them, support them, help them to grow and develop. Great teams build incredible businesses.

Have foundations and sub-strategies. For us, the foundation is to remain a niche and specialist provider. However, we have very specific growth plans that require sub-strategies. These are to diversify our product offering, build our people, and balance our currency earnings. We’re cost-effective and highly skilled, which is a good combination for international growth.

Build partnerships based on trust. This is essential across the business, from client partnerships, to teams, to the founding partnership. We are very different people with specific skill sets, and we approach ideas from different perspectives. It’s important that we trust that our goals are the same, and we’re arguing about the best way to get there. Ultimately, we know that each argument is in the best interests of the business, and that’s the result of trust.

Building a high-growth organisation takes time. So put in the time. Don’t expect instant traction. The best businesses are built on solid reputations and referrals, and those take time to develop.

Always be honest. Be honest with your staff and your customers. Don’t take the easy road and be quiet when you’re solving a problem. Rather let everyone know where you — and they — stand.


Key Insights

Sometimes you need to go slow if you want to grow    

From 2006 to 2015 Christi and Maeson Maherry built a R103 million business. They then almost doubled their turnover to R198 million in 15 months. This was because they focused on building solid foundations, and then integrating new client projects and employing the teams needed to run those projects, before focusing on next-level growth.

The best defence is a good offense          

There will always be competitors entering your market. The best way to ensure a defensible position is to always be looking ahead, maintaining an innovative mindset, and securing a niche position within your field. No matter what, you want to be the subject matter expert in your field.

Principles come first, solutions second   

How you deliver a solution changes with the times. Technology changes, and you don’t want to be left behind when it does. What is your core? What do you do? This is step one. How you deploy your solution is step two.

Nadine Todd is the Managing Editor of Entrepreneur Magazine, the How-To guide for growing businesses. Find her on Google+.

Advertisement
Comments

Entrepreneur Profiles

Afritorch Digital An Overnight Success That Was Years In The Making

By any standard, local start-up AfriTorch Digital has seen phenomenal growth and traction. But, while the company’s success might seem quick and effortless, there is a lot of hard work behind it.

GG van Rooyen

Published

on

michel-m-katuta-and-thabo-mphate-of-afritorch-digital

Vital stats

  • Players: Michel M. Katuta and Thabo Mphate
  • Company: Afritorch Digital
  • Established: 2017
  • Visit: afritorchdigital.com
  • About: Afritorch Digital assists research agencies in conducting market research through its in-depth knowledge of the African continent and its use of the latest digital technologies.

There is a saying that goes: It takes years to become an overnight success. While a company or individual might seem to enjoy sudden (and seemingly effortless) success, there is often more to the story. The results are usually public and well-publicised, but the years of hard work that came before go unnoticed.

Local start-up AfriTorch Digital is a great example of this. Since launching in May 2017, the business has seen excellent growth. “To be honest, we were very surprised by the level of success. Things progressed a lot quicker than we anticipated,” says co-founder Thabo Mphate.

 “All the goals we had hoped to reach in four or sixth months, we managed to hit in the first month. It was just amazing.”

Related: Edward Moshole Founder Of Chem-Fresh Started With R68 And Turned It Into A R25 Million Business

Preparing to launch

While AfriTorch Digital has certainly seen quick growth and success, it would be a mistake to assume that the same is true of the two founders. For them, the creation of AfriTorch was years in the making.

“The goal was always to start our own business,” says Thabo. “I think we’re both entrepreneurs at heart, and we saw an opportunity to create a unique kind of business that offered an innovative solution to clients, but we also realised the value of getting some experience first. Without the knowledge, experience, network and intimate understanding of the industry landscape, getting AfriTorch off the ground would have been incredibly difficult.”

Entrepreneurs tend to dislike working for other people. They want to forge their own path. However, as AfriTorch Digital’s case illustrates, spending time in the industry that you’d like to launch your business in is tremendously useful.

“Finding clients when we launched AfriTorch was relatively easy,” says company co-founder and CEO Michel Katuta. “One reason for this, I think, was that we were offering potential clients a great solution, but the other was that we had established a name for ourselves in the industry. People knew us. We had worked for respected companies, and we had done work for large clients. So, when we launched, we were able to provide a new start-up with credibility in the industry.”

The Lesson: Becoming an entrepreneur doesn’t always start with the launch of a company. Spending time in an established business, gaining experience and making contacts, can be invaluable. Very often, it’s the relationships you build during this time and the knowledge you accumulate that will help make your company a success.

Solving a problem

Everyone knows that launching a successful business means solving a burning problem, but what does that mean in practice? Aren’t all the burning problems already being addressed? And how do you attempt this without any money?

Thabo and Michel identified a small group of potential clients with a burning problem. Crucially, it was a problem that no one outside of the research field could have identified. Having spent years in the trenches, they saw a massive gap waiting to be filled.

Related: AutoTrader South Africa’s George Mienie Knows Disruptive Innovation Is More Than Shifting Gears

“A decade ago, researchers were still debating whether the future of the field was in the digital space. That debate is now over. Everyone agrees that online is the way to go. What once took months now takes days or hours, and the cost of research can be reduced by a factor of five,” says Michel.

“But researchers are not technology specialists. If made available, they are eager to adopt digital tools, but they aren’t eager to develop these tools themselves. That’s not their area of expertise.”

AfriTorch Digital stepped up to provide these tools. Katuta has a background in software engineering, so he could approach research problems with the eye of a tech specialist. Very soon, research agencies were lining up to make use of AfriTorch Digital’s services.

“We work with research agencies that conduct research on behalf of their clients. We provide the digital tools needed to conduct research online, and we provide the online communities. A big reason for our success is that we understand Africa. A lot of companies want to conduct research in Africa, but traditionally, this has been very hard. There was a lack of access and a lack of infrastructure that made research very hit-and-miss. Thanks to the continent’s adoption of mobile technology, it’s now much easier. If you have the technological know-how and an understanding of the environment, you can do amazing things,” says Michel.

The Lesson: Find a niche and own it. Research agencies might not have seemed like an obvious and lucrative market, but having spent time in the industry, the AfriTorch founders were able to identify clients who would be desperate for their offering. Spending time in an industry will help you see where the opportunities lie.


Take note

Before launching a business, get to know an industry from the inside out. This will give you an unparalleled view into gaps you can service.

Continue Reading

Entrepreneur Profiles

Jason English On Growing Prommac’s Turnover Tenfold And Being Mindful Of The ‘Oros Effect’

Rapid growth and expansion can lead to a dilution of the foundational principles that defined your company in its early days. Jason English of Prommac discusses how you can retain your company’s culture and vision while growing quickly.

GG van Rooyen

Published

on

jason-english-of-prommac

Vital stats

  • Player: Jason English
  • Position: CEO
  • Company: Prommac
  • Associations: Young President’s Organisation (YPO)
  • Turnover: R300 million (R1 billion as a group)
  • Visit: prommac.com
  • About: Prommac is a construction services business specialising in commissioning, plant maintenance, plant shutdowns and capital projects. Jason English purchased the majority of the company late in 2012, and currently acts as its CEO. Under his leadership, the company has grown from a small business to an international operation.

Since Jason English purchased Prommac in 2012, the company has experienced phenomenal growth. At the time he took over as owner and CEO, it was a small operation that boasted a turnover below R50 million.

Today, Prommac is part of a diversified group of companies under the CG Holdings umbrella and alone has grown it’s turnover nearly ten fold since Jason English took over. As a group, CG Holdings, of which Jason is a founder, is generating in excess of R1 billion. How has Prommac managed such phenomenal growth? According to Jason, it’s all about company culture… and about protecting your glass of Oros.

Jason English

Related: 5 Top Lessons From LAWTrust To Prepare For Super-Charged Growth

“As your business grows, it suffers from something that I call the Oros Effect. Think of your small start-up as an undiluted glass of Oros. When you’re leading a small company, it really is a product of you. You know everything about the business and you make every decision. The systems, the processes, the culture — these are all a product of your actions and beliefs. As you grow, though, things start to change. With every new person added to the mix, you dilute that glass of Oros.

“That’s not to say that your employees are doing anything wrong, or that they are actively trying to damage the business, but the culture — which was once so clear — becomes hazy. The company loses that singular vision. As the owner, you’re forced to share ‘your Oros’ with an increasing number of people, and by pouring more and more of it into other glasses, it loses the distinctive flavour it once had. By the time you’re at the head of a large international company, you can easily be left with a glass that contains more water than Oros.

“Protecting and nurturing a company’s culture isn’t easy, but it’s worth the effort. Prommac has enjoyed excellent growth, and I ascribe a lot of that success to our company culture. Whenever we’ve spent real time and money on replenishing the Oros, we’ve seen the benefits of it directly afterwards.

“There have been times when we have made the tough decision to slow growth and focus on getting the culture right. Growth is great, of course, but it’s hard to get the culture right when new people are joining the company all the time and you’re scaling aggressively. So, we’ve slowed down at times, but we’ve almost always seen immediate benefits in terms of growth afterwards. We focus heavily on training that deals with things like the systems, processes and culture of the company. We’ve also created a culture and environment that you won’t necessarily associate with engineering and heavy industries. In fact, it has more in common with a Silicon Valley company like Google than your traditional engineering firm.

“Acquisitions can be particularly tricky when it comes to culture and vision. As mentioned, CG Holdings has acquired several companies over the last few years, and when it comes to acquisition, managing the culture is far trickier than it is with normal hiring. When you hire a new employee, you can educate them in the ways and culture of the business. When you acquire an entire company, you import not only a large number of new people, but also an existing organisation with its own culture and vision. Because of this, we’ve created a centralised hub that manages all training and other company activities pertaining to culture. We don’t allow the various companies to do their own thing. That helps to manage the culture as the company grows and expands, since it ensures that everyone’s on the same page.

“Systems and processes need to make sense. One of the key reasons that drove us to create a central platform for training is the belief that systems and processes need to make sense to employees. Everyone should understand the benefits of using a system. If they don’t understand a system or process, they will revert to what they did in the past, especially when you’re talking about an acquired company. You should expect employees to make use of the proper systems and processes, but they need to be properly trained in them first. A lot of companies have great systems, but they aren’t very good at actually implementing them, and the primary reason for this is a lack of training.

“Operations — getting the work done — is seen as the priority, and training is only done if and when a bit of extra time is available. We fell into that trap a year ago. We had enjoyed a lot of growth and momentum, so we didn’t slow down. Eventually, we could see that this huge push, and the consequent lack of focus on the core values of the business, were affecting operations. So, we had to put the hammer down and refocus on systems, processes and culture. Today Prommac is back at the top of it’s game having been awarded the prestigious Service Provider of the year for 2017 by Sasol for both their Secunda and Sasolburg chemical complexes.

Related: Establishing The Wheels Of Change In Business

“If you want to know about the state of your company’s culture, go outside the business. We realised that we needed to ‘pour more Oros into the company’ by asking clients. We use customer surveys to track our own performance and to make sure that the company is in a healthy state. It’s a great way to monitor your organisation, and there are trigger questions that can be asked, which will give you immediate insight into the state of the culture.

prommac

“It’s important, of course, to ask your employees about the state of the business and its culture as well, but you should also ask your customers. Your clients will quickly pick up if something is wrong. The fact of the matter is, internal things like culture can have a dramatic effect on the level of service offered to customers. That’s why it’s so important to spend time on these internal things — they have a direct impact on every aspect of the business.

“Remember that clients understand the value of training. There is always a tension between training and operational requirements, but don’t assume that your clients will automatically be annoyed because you’re sending employees on training. Be open and honest, explain to a client that an employee who regularly services the company will be going on training. Ultimately, the client benefits if you spend time and money on an employee that they regularly deal with.

“For the most part, they will understand and respect your decision. At times, there will be push back, both from clients and from your own managers, but you need to be firm. In the long term, training is win-win for everyone involved. Also, you don’t want a client to become overly dependent on a single employee from your company. What if that employee quits? Training offers a good opportunity to swop out employees, and to ensure that you have a group of individuals who can be assigned to a specific client. We rotate our people to make sure that no single person becomes a knowledge expert on a client’s facility, so when we need to pull someone out of the system for training, it’s not the end of the world.

“Managers will often be your biggest challenge when it comes to training. Early on, we hired a lot of young people we could train from scratch. As we grew and needed more expertise, we started hiring senior employees with experience. When it came to things like systems, processes and culture, we actually had far more issues with some of the senior people.

“Someone with significant experience approaches things with preconceived notions and beliefs, so it can be more difficult to get buy-in from them. Don’t assume that training is only for entry-level employees. You need to focus on your senior people and make sure that they see the value of what you are doing. It doesn’t matter how much Oros you add to the mix if managers keep diluting it.”

Exponential growth

When Jason English purchased Prommac late in 2012, the company had a turnover of less than R50 million. This has grown nearly ten fold in just under five years. How? By focusing on people, culture and training.

key-insights-from-jason-english

Continue Reading

Entrepreneur Profiles

Who’s Leading Your Business Billy Selekane Asks – You Or The Monkey On Your Back?

You’re either a change-maker, or someone who is influenced by the shifting conditions around you. The truly successful know how to determine their own destinies. Here’s how they do it.

Nadine Todd

Published

on

billy-selekane

Vital stats

  • Player: Billy Selekane
  • Company: Billy Selekane and Associates
  • About: Billy Selekane is an author, internationally acclaimed inspirational keynote speaker, and a personal, team and organisational effectiveness specialist.
  • Visit: billyselekanespeaks.com

We live in a world of disruption. We live in a world where Airbnb’s valuation is $31 billion, but the Hilton’s market cap is $30 billion. Airbnb doesn’t own one square kilometre, and yet they’re worth more than the world’s biggest hotel chains with enormous assets. We live in a world where things have been turned upside down.

In this brave new world, you can either thrive, or fight to survive. As a leader in your organisation, the choices you make, the mental mind-space you occupy and how you engage with those around you, will determine your personal success, as well as that of your entire organisation.

“The business of business is people. You can’t just pay lip service to the idea that they are your most important asset. You need to live it. Leaders must be intelligent and honest. You can’t just push people to meet the numbers,” says Billy Selekane, personal and business mastery expert and international speaker.

The problem is that great leaders need to first find balance within, before they can successfully lead their organisations.

“Things can no longer be done the same way,” says Billy. “Success today is defined by people who are driven, are inspired by their own lives and goals, and have the power and capability to inspire others.” But before you can achieve any of this, you need to rid yourself of the monkey on your back.

Related: Billy Selekane

The monkey on your back

“If I continue doing what I’m doing, and thinking what I’m thinking, I’ll continue to have what I have,” says Billy. “That’s the definition of insanity. Are you doing things by default or design?”

Billy’s analogy is a simple one. It’s something we can all relate to, and it’s the single biggest thing stopping us from clearing our minds, focusing on the positive and achieving success. He calls it the monkey on our backs.

“Every one of us is born with an invisible monkey on their shoulder,” says Billy. “Your monkey is always with you. Sometimes they’re the one speaking, and you need to be careful of that.” What you need to be even more aware of than your own monkey though, is everyone else’s monkeys.

“Every interaction we have is an opportunity for what I call a monkey download. You have an argument with your spouse before work, and you end up getting into your car with not only your monkey, but theirs as well. Your irritation level has doubled thanks to the extra monkey. Now you get irritated with a pointsman, another driver or a taxi on your way to work. You’ve just added three monkeys.

“By the time you walk into the office, you’re bringing an entire village of monkeys with you. They’re clamouring, clattering, arguing with each other, and the noise is deafening. Not only does everyone get out of your way, but you can’t hear yourself think. And the more your mood drops, the more monkeys you download from the people around you. This is not the path to focus, achieving your goals or being happy. It’s certainly not the path to great leadership.

“Great leaders know how to keep all those monkeys out. They know how to control their moods, and regulate their own positivity. They understand that they are the architects of their own success.”

Getting out of the monkey business

To be a great leader — and personally successful and happy — you need to start by getting out of your own way, and as Billy calls it, ‘getting out of the monkey business.’ You need to not only shake your own monkey, but everyone else’s as well.

According to Billy, there are four simple areas you can begin focusing on today that will help you become the person (and leader) you want to be.

First, honesty is the foundation of everything else you should be doing. “Be clear and straight. Speak to people simply and honestly, but with respect. Connect with them, not through the head, but with the heart. Don’t play tricks.”

Related: 5 Top Lessons From LAWTrust To Prepare For Super-Charged Growth

Next, be authentic. All great leaders are authentic, and recognised as such. Aligned with this is integrity. “This is sadly out of stock, not only in South Africa, but the world,” says Billy.

“There is nothing as disturbing as a leader without integrity, and on a personal level, you won’t achieve emotional stability if you aren’t a person of integrity.”

Finally, you need to embrace love. “Wish your employees well. Wish your family, friends and connections well. When we are given love, and trusted to perform, we take that and pay it forward. In the case of business, this means your employees are giving the same love to customers, but if everyone showed a little more love, the world would be a better place. When people feel cared for, they show up with their hearts and wallets, and they pay it forward.

“Great leaders understand this. They don’t only focus on making themselves better, but adding to everyone around them. Remember this: In every business, there are no bad employees, just bad leaders. Employees are a reflection of that.”

If you want to build a better future, business or life, you need to start with yourself.


Do this

Stop letting negative thoughts and minor irritations derail you. You are the master of your moods and thoughts, so take personal responsibility for them.

Continue Reading

Trending